Item
8.01 OTHER EVENTS
Reliance
on SEC Relief from Filing Requirements
Due
to the impact of the novel coronavirus (“COVID-19”) pandemic, DirectView Holdings, Inc. (the “Company”,
“we”, “us” or “our”) will delay the filing of its Quarterly Report on Form 10-Q for the quarter
ended March 31, 2020 (the “Form 10-Q”), which was originally due to be filed with the U.S. Securities and Exchange
Commission’s (“SEC”) on May 15, 2020. The Company will be relying on the SEC’s “Order under Section
36 of the Securities Exchange Act of 1934 Modifying Exemptions From the Reporting and Proxy Delivery Requirements for Public Companies”
dated March 25, 2020 (Release No. 34-88465) (the “Order”), which provides conditional relief to public companies that
are unable to timely comply with a filing deadline due to circumstances related to the COVID-19 pandemic.
The
Company has experienced substantial disruptions in its operations as a result of the COVID-19 pandemic, including, but not limited
to, suggested and mandated social distancing and stay home orders. These mandates and orders, and resulting office closures, staffing
limitations, and remote working arrangements, have severely limited access to Company facilities by its financial reporting and
accounting staff, and additional time is needed to process and evaluate financial information and to prepare required disclosures.
Furthermore, the Company’s management has spent considerable time and attention on matters related to the COVID-19 pandemic.
Accordingly, the Company does not believe it will be able to compile and review certain information required to be filed on its
Form 10-Q prior to the original filing deadline. Based on the foregoing, the Company expects to file its Form 10-Q no later than
June 22, 2020 (45 days after the original filing deadline of the Form 10-Q, as allowed by the Order).
Item
8.01. Other Events.
Risk
Factor
As
required by the Order, the Company is including the following risk factor in this Current Report on Form 8-K, which should be
read in conjunction with the risk factors described in the Company’s Annual Report on Form As required by the Order, the
Company is including the following risk factor in this Current Report on Form 8-K, which should be read in conjunction with the
risk factors described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, which the Company
anticipates filing in the near future, and the Company’s subsequent periodic reports.
We
face risks related to health epidemics and other outbreaks, which could significantly disrupt our operations and could have a
material adverse impact on us, and the recent COVID-19 outbreak could materially and adversely affect our business.
An
outbreak of COVID-19 has resulted in millions of infections and hundreds of thousands of deaths worldwide, as of the date of filing
of this Current Report on Form 8-K, and continues to spread across the globe, including to the United States and Europe, the major
markets in which we operate. The outbreak of COVID-19 or by other epidemics could materially and adversely affect our business,
financial condition and results of operations. If the coronavirus worsens in China, the United States and Europe, or in other
regions in which we have material operations or sales, our business activities originating from affected areas, including sales,
manufacturing and supply chain related activities, could be adversely affected. Disruptive activities could include the temporary
closure of manufacturing facilities used in our supply chain processes, restrictions on the export or shipment of our products,
significant cutback of ocean container delivery from China, business closures in impacted areas, and restrictions on our employees’
and consultants’ ability to travel and to meet with customers. The extent to which COVID-19 impacts our results will depend
on future developments, which are highly uncertain and cannot be predicted, including new information which may emerge concerning
the severity of the virus and the actions to contain it or treat its impact, among others. COVID-19 could also result in social,
economic and labor instability in the countries in which we or our customers and suppliers operate.
If
workers at one or more of our offices or the offices of our suppliers or manufacturers become ill or are quarantined and in either
or both events are therefore unable to work, our operations could be subject to disruption. Further, if our manufacturers become
unable to obtain necessary raw materials or components, we may incur higher supply costs or our manufacturers may be required
to reduce production levels, either of which may negatively affect our financial condition or results of operations. The extent
to which COVID-19 affects our results will depend on future developments that are highly uncertain and cannot be predicted, including
actions to contain COVID-19 or treat its effect, among others.